​The UAE has the largest number of local and international banks in the GCC region. There are also some banks, particularly Islamic ones that offer Shari’a compliant banking needs. In Dubai, just like in the other emirates, any resident or Emirati can apply for personal loans, car loans, get credit/debit/prepaid cards or loans for other purposes. Opening an account, providing credit cards and granting loans and banking facilities are subject to the UAE Central Bank’s conditions (PDF size 3.15 MB), one of the most important of which is the possibility of closing a customer’s account if his/her cheque was bounced for insufficient funds.

In February 2011, the Central Bank of the UAE issued new regulations (Regulation No. 29/2011, dated 23/02/2011) regarding bank loans and other services for individual customers to unify the fees for bank services thereby ensuring transparency and enhancing the credibility of the banking system.

The most significant change is that a borrower can obtain a loan up to 20 times his/her salary or regular income for a maximum repayment period of 48 months. Importantly, banks and finance companies are prohibited from taking blank cheques against loans or overdraft facilities. The Central Bank also banned banks and financial institutions from tele-marketing credit cards and loans over the phone.

Opening an account is fairly simple, though the requirements vary from one bank to another. To open a current account, you must have a valid residence in Dubai. You need to check the terms and conditions carefully as some banks make it mandatory to retain a minimum balance or take a credit card/ loan to avoid having a minimum balance. Also check what facilities you are eligible for. Some banks have excellent online and phone payment options including settling of utility, motor and communication bills.

The required documents to open a bank account are usually an original passport with residency visa, or proof of UAE citizenship, a no-objection letter from sponsor/employer & a salary certificate. The required documents may differ from bank to bank.

In October 2011, the UAE Central Bank announced that all bank account holders in the UAE should get an International Bank Account number (IBAN), which should be used for any local or international transaction. IBAN is a standardized numbering system to identify bank accounts around the world. The IBAN implementation in the UAE means that all customers will get IBAN numbers in addition to their account numbers.